UCO, BENENSON, WPRF ARBITRATION RESULTS

 

Arbitrators decide next decade's Recreational Access fees.

Bound by 99-year leases signed by original condo owners in 1968-72, each condo pays a two part monthly fee, currently about $90 for access and $45 for maintenance and operations.

The access portion is determined every decade; the maintenance and operations portion, annually in negotiations between WPRF (representing Benenson) and the Operations Committee.

In accordance with the expiring (Dec. 31, 2021) Millennium Amendment, UCO and Benenson Capital Partners (owners of CV recreational properties) each chose an arbitrator, who then chose a third.

After reviewing documents and holding hearings, the three arbitrators have decided the following access fee schedule, effective Jan 1, 2022 to Dec 31, 2031:

“The Panel finds that fair market "access rent" shall be Ninety One and 00/100 Dollars ($91.00) per unit per month commencing January 1, 2022, with annual increases thereafter at the rate of 2.25% per year. Such access rent shall be due in addition to Operating Expenses and Reserves as contemplated by the Amendment and the Operating Agreement. “ (My emphasis)

SCHEDULE OF RENT INCREASES

MONTHLY PER UNIT RENTAL INCREASE IN ADDITION To RENT LEVELS IN EXISTENCE AS OF DECEMBER 31, 2021
PAYMENT PERIOD	(Rent increase over prior period) Total
January 1, 2022, and monthly until December 31, 2022	$2.02 (+$2.02) Total: $91 + $2.02 = $93.02
January 1, 2023, and monthly until until December 31, 2023	$4.09 (+$2.07) Total: $91 + $4.09 = $95.09
January 1, 2024, and monthly until until December 31, 2024.	$6.21 (+$2.12) Total: $91 + $6.21 = $97.09
January 1, 2025, and monthly until until December 31, 2025	$8.37 (+$2.16) Total: $91 + $8.37 = $99.37
January 1, 2026, and monthly until until December 31, 2026	$10.58 (+$2.21) Total: $91 + $10.58 = $101.58
January 1, 2027, and monthly until until December 31, 2027	$12.84 (+$2,26) Total: $91 + $12.84 = $103.84
January 1, 2028, and monthly until until December 31, 2028	$15.15 (+$2.31) Total: $91 + $15.15 = $106.15
January 1, 2029, and monthly until until December 31, 2029	$17.52 (+$2.37) Total: $91 + $17.52 = $108.52

January 1, 2030, and monthly until until December 31, 2030	$19.94 (+$2.42) Total: $91 + $19.94 = $110.94
Januaw 1, 2031, and monthly until December 31, 2031	$22.41 (+$2.47) Total: $91 + $22.41 = $113.41

Richard Handelsman